Tuesday, August 14, 2007

Monthly chart shows a 3 wave corrective pattern into the $18.37 high. From the $18.37 high, we now have a 3 wave pattern down into .786 fib support. This is a bullish butterfly type pattern. Need to look at the daily and weekly chart to determine whether there is buying at this level or not. Price currently is below all moving averages.The Weekly chart shows price to have fallen below the prior low and support at $7.01. The 8ema seems to be holding as resistance.The daily chart shows initial buying on August 2, 2007. However, the following day, the price gapped down at the open and sold lower, to end on the lows of the trading day. The gap down created a kicker signal which indicates that investor sentiment has drastically changed from the prior 2 trading sessions. Price is trading below all long term and short term moving averages. There is no buying as of yet on this stock, despite the bullish pattern.